Astera Labs Positioned for Growth Amid AI Boom

U.S.-based Astera Labs (NASDAQ: ALAB), a provider of semiconductor-based connectivity solutions for cloud and AI infrastructure, is positioned for strong growth amid the ongoing AI boom. Based on Visible Alpha consensus estimates, Astera’s total revenue in 2024 is projected to surge by +162% year over year, reaching $304 million.

The main driver of this growth is the company’s Aries product family of PCIe/CXL smart retimers, which is anticipated to generate $267 million in revenue in 2024, marking a 146% increase from the previous year and contributing 88% to Astera’s total revenue. While Aries products are expected to sustain robust growth, Astera’s Leo and Tauras product lines are also projected to accelerate during the forecast period. Between 2024 and 2028, the Leo product line is expected to see revenue grow at a CAGR of 130%, followed by Tauras at 68%, and Aries at 19%.

The share of revenue from the Leo product line within Astera’s total revenue is projected to rise to 22% by 2028, up significantly from an estimated 2.8% in 2024. Similarly, the share of revenue from the Tauras product line is expected to grow to 21% by 2028, up from 9.2% in 2024.